Wireless telecommunications has escaped the worst effects of the semiconductor shortage, and that semiconductors for cellular infrastructure equipment will continue to dodge significant shortages going forward. In addition, availability of chips for Wi-Fi access points and cellular phones will continue to improve through 2023, Strategy Analytics said in its recent report.
Taiwan's notebook ODMs Quanta Computer and Inventec both have released positive outlook for their shipment performance in the second half of the year, though some market observers and brand vendors believe the notebook market may be going downhill amid dwindling COVID-driven demand.
Hon Hai Precision Technology (Foxconn) has reiterated a flat revenue growth outlook for both the second quarter of 2022 and the full year, while order visibility has also strengthened compared to March.
Pegatron expects its notebook shipments to decline 5-10% sequentially in the second quarter, while shipments of its desktop PCs and motherboards will fall 30-35% on quarter. Non-PC product shipments will also fall sequentially during the quarter.
Overall notebook production in China, which mainly takes place in major coastal cities in eastern China, is unlikely to return to pre-lockdown levels until July, according to industry sources. Insufficient manpower and logistical problems were cited as the main challenges.
Taiwan-based EMS provider Qisda has been heavily impacted by the lockdowns in China, but remains optimistic about growth in 2022. Lockdown impacts are expected to persist through the second half of 2022, despite originally being expected to ease in the first half.
Quanta Computer's production capacity for MacBook Pros at its Shanghai, China site so far still has not been fully restored and consumers who place orders for Apple notebooks now may not receive the devices until mid-July, according to sources from the upstream supply chain.
China's COVID lockdowns and restrictions have little impacted order placements from clients despite causing shipment delays, but supply chain players may not be able to fully resume order fulfillment momentum until after their manufacturing operations return to normal in the third quarter of the year, according to sources at PC component makers.
Southeast Asia is unlikely to replace China as the world's manufacturing hub in the short term, according to Tom Cho, chairman of ODM Inventec. For Taiwanese businesses, the decision to relocate depends on customers and whether it would increase competitiveness.
EMS provider Qisda has been making efforts to fulfill ESG (environmental, social, governance) responsibilities based on the notion that "no ESG means no money," for implementation of ESG can build excellent corporate image, help companies attract outside investors and strengthen companies' innovation and competitiveness as well as employees' loyalty, according to company chief human resource and sustainability & risk officer Danny Lin.
We all live in a connected world with ubiquitous sensors and connected devices. These connected devices are often powered by batteries without direct access to a power supply, which makes power consumption a top concern when choosing the appropriate wireless communication technology for IoT devices.
AI has permeated well into the modern society playing a crucial role in a wide variety of applications, but AI systems, just like all kinds of computer operating systems, can hardly avoid being hacked. Therefore how to make them stay immune to attacks has become a common goal for all those engaged in the AI technology development, Wei-Bin Lee, CEO of Hon Hai Research Institute under Foxconn Technology Group, has said.
Canada AI company Pleora Technologies which created GigE Vision, a standard for networking cameras and processing in industrial automation projects, joined the 2022 Canada Trade Office Taipei (CTOT) startup accelerator program, hoping to find strategic partners which are system integrators or hardware manufacturers and together expand its industrial automation markets in Asia.
Taiwan-based industrial PC makers including Advantech, Ennoconn, Aaeon Technology, iBase Technology, Axiomtek, Posiflex Technology and Avalue Technology are poised to enjoy impressive sales growth this year, as infrastructure activities are resuming, according to industry sources.
Server ODM Wiwynn delivered brisk sales and profit results for the first quarter of 2022 but saw both its gross margin and operating margin slide due to growing inventory, and rising costs of transportation and warehousing.
Quanta Computer's plant in Shanghai, China is gradually resuming its production of Apple's MacBook products with order pull-ins also slowly turning strong, according to sources from the upstream supply chain.
China-based ODM Wingtech Technology has seen semiconductor sales significantly bolster its profits since acquiring in late 2019 Nexperia, a Dutch supplier of discrete and MOSFET components as well as analog and logic chips, and is on track to expand its presence in the semiconductor sector through more acquisition and R&D projects, according to industry sources.
Taiwan-based server makers continue to enjoy robust order visibility, and are upbeat about sales prospects for the second half of 2022, according to industry sources. Companies including Inventec, Quanta Computer, and Wiwynn are all poised to post double-digit on-year revenue increases this year.